Saylor's 'Risk Capital Squared' Explains Bitcoin Lag Amidst AI Industry Impact

Michael Saylor, a prominent figure in the crypto space, recently shared his insights on why Bitcoin (BTC) has been lagging behind other assets. According to him, the 'risk capital squared' model explains this phenomenon. He explained that anything good for risk assets boosts BTC, while anything bad hits it harder. However, institutions tend to focus on relative value without an ideological bias, which leads them to rotate into engineered hot deals.

Saylor highlighted the impact of the AI industry on crypto flows, stating that it's more significant than any corporate action. He noted that Strategy bought 175,000 BTC this year against a 32-coin sale that equates to two basis points. This underscores the idea that institutions will rotate back into BTC once engineered pops fade.

Technically speaking, BTC is pressing the upper Bollinger Band resistance at $78,804.41, while its RSI(14) prints 94.55 overbought. A healthy retracement toward the EMA50 support at $67,504.83 looks probable before continuation, even as the MACD golden cross at 3,207.39 keeps the longer-term bullish structure intact.